4-Star Stocks Poised to Pop: Garmin

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Based on the aggregated intelligence of 125,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, navigation device maker Garmin (Nasdaq: GRMN) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Garmin's business, and see what CAPS investors are saying about the stock right now.

Garmin facts 

Headquarters (founded)

Camana Bay, Cayman Islands (1990)

Market Cap

$3.43 billion

Industry

Consumer electronics

TTM Revenue

$3.49 billion

Management

CEO Dr. Min Kao (since 2002)
COO Clifton Pemble (since 2007)

Return on Equity (average, last three years)

37.9%

Dividend Yield (trailing)

4.4%

Competitors

TomTom
Motorola (NYSE: MOT)
Trimble Navigation (Nasdaq: TRMB)

CAPS members bullish on GRMN also bullish on

Apple (Nasdaq: AAPL)
Google (Nasdaq: GOOG)

CAPS members bearish on GRMN also bearish on

General Motors (NYSE: GM)
Citigroup (NYSE: C)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 927 of the 1,014 All-Star members who have rated Garmin -- some 91% -- believe the stock will outperform the S&P 500 going forward. These bulls include 1eyedsquirrel and Mary953, both of whom are ranked in the top 10% of our community.

Two weeks ago, 1eyedsquirrel tapped Garmin as a well-positioned global positioning play: 

The best quality/value GPS product. I spent a summer working for a GPS competitor in the 1990s and admired [Garmin] back then. I am not surprised to see what a success it has become. [Garmin] offers a great product at a competitive price and knows how to market it.

In a pitch from late December, Mary953 echoes that best-of-breed-based bullishness:

Having just purchased a Garmin, I am taking the unusual step of seeking out the stock. … It is not just that Consumer Reports lists the Garmin (in different models) as best buys and best gps units available. It is not even that the controls on the Garmin units are so user friendly that they are almost intuitive. It is the fact that even a directionally challenged (which way is right?) person like me can go anywhere in any city or go any where from one city to any where in another city and do it with voice over directions in any of a multitude of languages. I cannot get lost! This is worth millions to me and to every other perpetually lost person and their families out there.

What do you think about Garmin, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 125,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Garmin is a Motley Fool Global Gains pick, Apple is a Stock Advisor choice, and Google is a Rule Breakers recommendation. The Fool's disclosure policy always gets a perfect score.

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Related Tickers

12/3/2009 2:33 PM
TRMB $22.98 Down -0.11 -0.48%
Trimble Navigation… CAPS Rating: ****
GRMN $30.40 Up +0.42 +1.40%
Garmin Ltd. CAPS Rating: ***
GM $0.75 Down +0.00 +0.00%
General Motors Cor… CAPS Rating: *
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Citigroup, Inc. CAPS Rating: **

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